Tanzania is entering a pivotal phase in its heavy mineral sands sector with active mining at the Fungoni-Kigamboni and Tajiri projects, alongside construction of a new mineral processing plant in the Tanga Region.
Nyati Mineral Sands Ltd., a joint venture in which the Tanzanian government holds a 16% non-dilutable stake, is leading these efforts. The projects mark a significant step toward boosting local mineral processing and increasing economic benefits within the country.
Deputy Minister for Minerals, Dr. Steven Kiruswa, recently visited the Fungoni-Kigamboni site to inspect production and review progress on the Tajiri processing plant. During the visit, he urged the company to accelerate the plant’s construction as part of the government’s strategy to add value to minerals before export.
“We have granted Nyati Mineral Sands Ltd. a two-year temporary permit to export raw minerals, allowing time to complete the processing plant and strengthen the project’s capital base,” said Dr. Kiruswa. “During this period, the company must prepare to fully process minerals domestically to maximize economic gains for Tanzania.”
The Deputy Minister also emphasized the importance of knowledge transfer, urging Nyati Mineral Sands Limited to increase the involvement of Tanzanian professionals and workers and to maintain strong social commitments to local communities. Furthermore, he stressed adherence to the Mine Closure Plan to restore mining-affected areas responsibly, ensuring environmental conservation and sustainable land use.
Highlighting the broader regional impact, Dr. Kiruswa noted the mining sector’s growing contribution to government revenue. The Dar es Salaam and Pwani Mining Region exceeded its revenue target for the 2025/26 fiscal year by collecting 27.07 billion Tanzanian shillings against a target of 24 billion. For the 2026/27 fiscal year, the target is set at 33 billion shillings, with early collections in July already surpassing monthly goals.
“The robust revenue performance reflects an increasingly strong mining sector,” Dr. Kiruswa said. “Investment in heavy mineral sands extraction and processing will further enhance the value derived from Tanzania’s mineral resources domestically.”
This phase of development underscores Tanzania’s commitment to sustainable mining practices and economic growth by fostering local processing capabilities, environmental stewardship, and community engagement.
